Meanwhile, technology stocks were among the strongest performers. The tech-heavy Nasdaq composite (COMP) was up 16 points, or 0.6%, with Nvidia (NVDA) and Micron Technology (MU, Fortune 500) gaining between about 6%.

After the closing bell, Google (GOOG, Fortune 500) reported third-quarter earnings that handily beat estimates, and said that its Google+ social network now has 40 million users. Shares spiked more than 5% in after-hours trading.

But throughout the trading day, JPMorgan's earnings results weighed on the market. The bank reported profit and revenue figures that topped Wall Street estimates, but fell from a year earlier. Investors were disappointed as CEO Jamie Dimon said the investment bank is being "extremely cautious, while navigating through this challenging economic environment."

"It's a difficult environment for banks to make money," said Dave Hinnenkamp, CEO at KDV Wealth Management. "The banking sector is facing a lot of headwinds, considering what's happening in Europe."

He added that while U.S. banks are well capitalized and in much better shape than they were in 2008, "they are still sensitive to the headlines."

Europe's ongoing debt troubles have been weighing on Wall Street for months. A survey by CNNMoney shows that 80% of the experts agree that the most challenging hurdle for the stock market is the eurozone debt crisis.

Weaker-than-expected trade data from China also spooked investors, amid mounting concerns about a global economic slowdown. While Chinese exports were up 17.1% in September from a year earlier, that was weaker than the 24.5% annual increase in the previous month and below most forecasts, according to reports.

With little other news to lift the mood on Wall Street, investors hit the pause button after solid gains over the last week.

On Wednesday, stocks finished sharply higher, as investors grew optimistic about a resolution for Europe's debt crisis, after European Commission President Jose Manuel Barroso announced a plan to recapitalize European banks.

Wednesday's advance was the sixth out of the last seven days for the S&P 500 and Nasdaq, and fifth for the Dow. The three major indexes are up between 8% and 11% since Oct. 3, when stocks hit their lowest levels in more than a year.

Companies: Research in Motion (RIMM) shares continued to struggle, after the BlackBerry-maker company's worst-ever outage that started in Europe on Monday. RIM said BlackBerry service has been fully restored worldwide Thursday morning.